GBP/USD Price Analysis: Bull cross and 50-HMA comes to the rescue ahead of UK data


  • GBP/USD rebounds towards 1.3900 amid UK-India trades, risk reset.
  • Bull cross and 50-HMA support fuels the renewed uptick in the spot.
  • Hourly RSI holds bullish ahead of the UK and US macro updates.

GBP/USD is bouncing back towards the 1.3900 threshold amid a recovery in the risk sentiment, which seemingly caps the pullback in the US dollar.

A potential UK-India trade deal also lifts the sentiment around the pound. British Trade Minister Liz Truss said Tuesday, “we will start talks about a full free trade deal with India in the autumn.”

Traders now await the UK Final Manufacturing PMI and US Factory Orders data for fresh directives.

From a near-term technical perspective, the cable has held on to the 50-hourly moving average (HMA) at 1.3870 so far this Tuesday.

The abovementioned key support once again came to the rescue of GBP bulls, as the major sees a solid bounce.

The bull cross on the hourly chart, as represented by the 21-HMA cutting above the 200-HMA, adds credence to the renewed uptick alongside a bullish Relative Strength Index (RSI).  

GBP/USD hourly chart

Immediate resistance awaits near 1.3895, the confluence of the 21 and 200-HMAs.

The horizontal 100-HMA at 1.3901 will guard the upside.

Alternatively, a fresh leg towards 1.3850 cannot be ruled out if the 50-HMA support caves in.

Monday’s low at 1.3831 will be next on the sellers’ radars.

GBP/USD additional levels to watch

GBP/USD

Overview
Today last price 1.3885
Today Daily Change -0.0024
Today Daily Change % -0.17
Today daily open 1.3909
 
Trends
Daily SMA20 1.3844
Daily SMA50 1.3869
Daily SMA100 1.3767
Daily SMA200 1.3432
 
Levels
Previous Daily High 1.3932
Previous Daily Low 1.3801
Previous Weekly High 1.3976
Previous Weekly Low 1.3803
Previous Monthly High 1.4009
Previous Monthly Low 1.3669
Daily Fibonacci 38.2% 1.3882
Daily Fibonacci 61.8% 1.3851
Daily Pivot Point S1 1.383
Daily Pivot Point S2 1.375
Daily Pivot Point S3 1.3699
Daily Pivot Point R1 1.3961
Daily Pivot Point R2 1.4012
Daily Pivot Point R3 1.4091

 

 

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